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Tether plans to inject more than $1 billion into various trades over the next year, CEO Paolo Ardoino revealed in an interview with Bloomberg. The company focuses on alternative financial infrastructure, artificial intelligence (AI), and biotechnology through its venture arm called Tether Investments.
Notably, Ardoino revealed that the team at Tether Investments is already actively evaluating numerous startup proposals each month. The company’s investment strategy is part of its broader ambitions to diversify beyond Tether USD (USDT), a stablecoin pegged to the dollar with a market capitalization of $112.4 billion.
The company’s investments, totaling about $2 billion over the past two years, are consistent with its goals to build economic influence in emerging markets and reduce dependence on big tech companies. Tether’s profits, supported by high interest rates, have enabled large investments in U.S. Treasury bills and other securities. Mr. Ardoino emphasized strategic investments in technology that facilitates the disintermediation of traditional finance.
“We can bring AI computing to every company we invest in,” Ardoino said. “The key is investing in technology that helps disintermediate traditional finance. You become less dependent on big tech companies like Google, Amazon, and Microsoft.”
Despite past regulatory settlements, Tether’s USDT maintains a stable 1:1 peg to the dollar. The company remains profitable, reporting $4.5 billion in profits in the first quarter, and has established itself as an influential dealmaker. Tether’s future plans include a digital platform for bond and equity issuance and support for central bank digital currencies, further expanding its reach beyond stablecoins.
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